India’s First Camel Milk Plant Boosts Niche Dairy Growth
Sarhad Dairy — the Kutch District Cooperative Milk Producers’ Union Ltd. — has further strengthened India’s dairy landscape with its camel milk processing initiative, operating the country’s first camel milk processing plant and introducing unique value-added products that are expanding rural incomes and diversifying the dairy portfolio. The plant, based in Bhuj (Kutch, Gujarat), procured an average of 4,754 litres of camel milk per day in FY2024–25, making annual payments of approximately ₹8.72 crore to more than 350 camel farming families in the region.
The facility, functional since January 2019 with advanced deodorisation technology and primary organic certification for camel milk, operates on a cooperative model similar to Amul’s, sourcing through four collection centres at Rapar, Nakhatrana, Gadhshisha and Kotda Athamana in Kutch. In addition to niche camel milk procurement, Sarhad Dairy oversees broad dairy operations, collecting around 5.5 lakh litres of milk daily from nearly 80,000 producers and processing about 4 lakh litres of milk per day, while also producing cattle feed and other dairy products.
A striking outcome of the camel milk initiative is the production of camel milk Rajbhog-flavoured ice cream — the only such product in India — which was inaugurated by Prime Minister Narendra Modi in February 2024. Within its first year, the ice cream plant rolled out 80 varieties and produced 24.52 lakh litres of camel milk ice cream, sending out peak dispatches of 58,000 litres, demonstrating growing consumer interest in this niche category.
The camel milk segment — often referred to locally as “white gold of the Rann of Kutch” for its rich mineral content and perceived health benefits — is being integrated into Sarhad Dairy’s broader cooperative ecosystem, which saw a historic turnover exceeding ₹1,200 crore in 2024–25, with roughly ₹3 crore daily disbursed to farmers across products. Sarhad’s approach also integrates rural banking and financial inclusion, with over 900 milk societies and 31,067 livestock rearers enrolled in cooperative banking initiatives that strengthen grassroots economic resilience.
Experts say this specialized camel milk processing and product innovation could serve as a model for diversifying dairy value chains in India, encouraging adoption of health-oriented dairy variants, enhancing rural incomes, and potentially drawing export interest as functional dairy categories grow domestically and internationally.
Source : Dairynews7x7 Jan 22nd 2026 ANI











